topic How can we enter a foreign tax credit based on taxes paid on rental income NOT investments? Turbo Tax will not generate this credit. in Investors & landlords

How can we enter a foreign tax credit based on taxes paid on rental income NOT investments? Turbo Tax will not generate this credit.

acrawf — Mon, 23 Feb 2026 13:25:26 GMT

How to access form 1116 for foreign tax credit

Re: How can we enter a foreign tax credit based on taxes paid on rental income NOT investments? Turbo Tax will not generate this credit.

rogge1722 — Mon, 06 Feb 2023 00:35:12 GMT

If you have been through the foreign tax credit interview, the most common cause for no credit is from the following screen: "Other Gross Income -country". Re-enter the interview and when you arrive at this screen, make sure you enter "from rentals" and enter the amount even though reported elsewhere.

Re: How can we enter a foreign tax credit based on taxes paid on rental income NOT investments? T...

DaveF1006 — Mon, 06 Feb 2023 16:44:30 GMT

In addition to the response of what rogge1722 mentioned, your foreign tax credit may have been limited this year. Reading this IRS source suggest the possibility that your foreign tax credit cannot be more than your total U.S. tax liability multiplied by a fraction. The numerator of the fraction is your taxable income from sources outside the United States. The denominator is your total taxable income from U.S. and foreign sources.

If this is the case, your foreign tax credit may be carried back to the previous year and then carried forward to the next ten years. Refer to Carryback and Carryover in Publication 514, Foreign Tax Credit for Individuals.

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